SAQA All qualifications and part qualifications registered on the National Qualifications Framework are public property. Thus the only payment that can be made for them is for service and reproduction. It is illegal to sell this material for profit. If the material is reproduced or quoted, the South African Qualifications Authority (SAQA) should be acknowledged as the source.
SOUTH AFRICAN QUALIFICATIONS AUTHORITY 
REGISTERED UNIT STANDARD: 

Demonstrate an understanding of the core concepts of corporate finance 
SAQA US ID UNIT STANDARD TITLE
13402  Demonstrate an understanding of the core concepts of corporate finance 
ORIGINATOR
SGB Banking and Micro Finance 
PRIMARY OR DELEGATED QUALITY ASSURANCE FUNCTIONARY
BANKSETA - Banking Sector Education and Training Authority 
FIELD SUBFIELD
Field 03 - Business, Commerce and Management Studies Finance, Economics and Accounting 
ABET BAND UNIT STANDARD TYPE PRE-2009 NQF LEVEL NQF LEVEL CREDITS
Undefined  Regular  Level 5  Level TBA: Pre-2009 was L5 
REGISTRATION STATUS REGISTRATION START DATE REGISTRATION END DATE SAQA DECISION NUMBER
Reregistered  2018-07-01  2023-06-30  SAQA 06120/18 
LAST DATE FOR ENROLMENT LAST DATE FOR ACHIEVEMENT
2024-06-30   2027-06-30  

In all of the tables in this document, both the pre-2009 NQF Level and the NQF Level is shown. In the text (purpose statements, qualification rules, etc), any references to NQF Levels are to the pre-2009 levels unless specifically stated otherwise.  

This unit standard does not replace any other unit standard and is not replaced by any other unit standard. 

PURPOSE OF THE UNIT STANDARD 
Persons credited with this Unit Standard are able to demonstrate an understanding of the core concepts of Corporate Finance.

The qualifying learner is capable of:
  • Demonstrating an understanding of Corporate Finance
  • Demonstrate an understanding of the role of valuations in Corporate Finance
  • Demonstrating an understanding of the role that the regulatory environment plays in Corporate Finance 

  • LEARNING ASSUMED TO BE IN PLACE AND RECOGNITION OF PRIOR LEARNING 
    The learner must be able to work within a Corporate Finance environment and to understand the commercial objectives of the operation in which they work. It is recommended that learners have a financial accounts background. 

    UNIT STANDARD RANGE 
    The typical scope of this unit standard is a Corporate Finance environment. 

    Specific Outcomes and Assessment Criteria: 

    SPECIFIC OUTCOME 1 
    Demonstrate an understanding of corporate finance 

    ASSESSMENT CRITERIA
     

    ASSESSMENT CRITERION 1 
    1. The different components of Corporate Finance are illustrated. 
    ASSESSMENT CRITERION RANGE 
    Mergers, acquisitions, disposals, restructurings, new listings, capital raisings, preferential shares, equity investments.
     

    ASSESSMENT CRITERION 2 
    2. The difference between corporate finance and finance for corporates is illustrated. 

    ASSESSMENT CRITERION 3 
    3. Typical users of Corporate finance are illustrated. 
    ASSESSMENT CRITERION RANGE 
    Listed companies, financial directors and CEOs.
     

    SPECIFIC OUTCOME 2 
    Demonstrate an understanding of the role of valuations in corporate finance 

    ASSESSMENT CRITERIA
     

    ASSESSMENT CRITERION 1 
    1. Different methods of valuations are explained. 
    ASSESSMENT CRITERION RANGE 
    Discounted cash flow, earning multiples, yield base valuation.
     

    ASSESSMENT CRITERION 2 
    2. An understanding of the major reasons that a valuation will be required within the context of corporate finance is demonstrated. 

    ASSESSMENT CRITERION 3 
    3. The financial concepts of valuations are defined and explained. 
    ASSESSMENT CRITERION RANGE 
    PE ratios, cost of capital, return on equity, net asset value.
     

    SPECIFIC OUTCOME 3 
    Demonstrate an understanding of the role that the regulatory environment plays in corporate finance 

    ASSESSMENT CRITERIA
     

    ASSESSMENT CRITERION 1 
    1. The key regulators in the environment are described. 
    ASSESSMENT CRITERION RANGE 
    JSE Securities Exchange, Securities Regulation Panel, Competition Commission, South African Reserve Bank, Registrar of Companies, Financial Services Board.
     

    ASSESSMENT CRITERION 2 
    2. The importance of regulation within the corporate finance environment is illustrated. 

    ASSESSMENT CRITERION 3 
    3. The relationship between the London Stock Exchange and the Johannesburg Stock Exchange is discussed. 


    UNIT STANDARD ACCREDITATION AND MODERATION OPTIONS 
    Accreditation for this Unit Standards shall be from the relevant education and Training Quality Assurer through formative and summative assessment by a registered Assessor. Assessment should be contextual and be conducted in the workplace as far as possible.

    The relevant NSB and SGB should be notified of any feedback related to this qualification.
  • Assessors must be registered as an Assessor with the relevant ETQA
  • Moderators must be registered as assessors with the relevant ETQA
  • Training providers must be accredited by the relevant ETQA
  • Moderation should include both internal and external moderation where applicable
  • The relevant ETQA will co-ordinate all moderation activities in accordance with their policies and procedures. 

  • UNIT STANDARD ESSENTIAL EMBEDDED KNOWLEDGE 
    Learners can:

    1. Apply an understanding of the role of the regulatory environment in Corporate Finance.
    2. Apply an understanding of the different components of Corporate Finance. 

    UNIT STANDARD DEVELOPMENTAL OUTCOME 
    N/A 

    UNIT STANDARD LINKAGES 
    N/A 


    Critical Cross-field Outcomes (CCFO): 

    UNIT STANDARD CCFO IDENTIFYING 
    The learner is able to identify and solve problems relating to the completeness, correctness and accuracy of the information received. 

    UNIT STANDARD CCFO COMMUNICATING 
    The learner is able to communicate effectively using basic mathematical and/or language skills in the modes of oral and/or written persuasion when communicating with relevant parties regarding the application. 

    UNIT STANDARD CCFO SCIENCE 
    The learner is able to use science and technology effectively and critically in applying the use of the company system to process applications. 

    UNIT STANDARD ASSESSOR CRITERIA 
    N/A 

    REREGISTRATION HISTORY 
    As per the SAQA Board decision/s at that time, this unit standard was Reregistered in 2012; 2015. 

    UNIT STANDARD NOTES 
    Terminology:

    The learner should be able to define and contextualise the following terms:

    Acquisitions, capital raisings, cost of capital, discounted cash flow, disposals, earning multiples, equity investments, mergers, new listings, net asset value, PE ratio, preferential shares, restructurings, return on equity.

    Values:

    The use of tasks and materials in the learning event plan should not discriminate against learners on any grounds prescribed in the Bill of Rights and should promote the orientations outlined in the critical cross-field outcomes. 

    QUALIFICATIONS UTILISING THIS UNIT STANDARD: 
      ID QUALIFICATION TITLE PRE-2009 NQF LEVEL NQF LEVEL STATUS END DATE PRIMARY OR DELEGATED QA FUNCTIONARY
    Elective  63209   National Certificate: Energy Regulation  Level 5  NQF Level 05  Reregistered  2023-06-30  As per Learning Programmes recorded against this Qual 
    Elective  50481   National Certificate: Financial Markets and Instruments  Level 6  Level TBA: Pre-2009 was L6  Reregistered  2023-06-30  BANKSETA 


    PROVIDERS CURRENTLY ACCREDITED TO OFFER THIS UNIT STANDARD: 
    This information shows the current accreditations (i.e. those not past their accreditation end dates), and is the most complete record available to SAQA as of today. Some Primary or Delegated Quality Assurance Functionaries have a lag in their recording systems for provider accreditation, in turn leading to a lag in notifying SAQA of all the providers that they have accredited to offer qualifications and unit standards, as well as any extensions to accreditation end dates. The relevant Primary or Delegated Quality Assurance Functionary should be notified if a record appears to be missing from here.
     
    1. Azania Currency and Equity Markets 
    2. Chartall Business College 
    3. DC Dali Debt Counsellors 
    4. Duke 
    5. Felix Risk Training Consultants 
    6. Full Value Financial Services (Pty) Ltd 
    7. Injabulo Home Grown Learning and Development Solutions 
    8. Lotus Academy Pty Ltd 
    9. Maharishi Invincibility Institute NPC 
    10. Octopus Training Solutions 
    11. The Academy of Financial Markets 
    12. The Facilitation Workshop 
    13. The Institute of Literacy Advancement 
    14. UCS Education and Training Services (Pty) Ltd 
    15. Welltec Academy (Pty) LTD 



    All qualifications and part qualifications registered on the National Qualifications Framework are public property. Thus the only payment that can be made for them is for service and reproduction. It is illegal to sell this material for profit. If the material is reproduced or quoted, the South African Qualifications Authority (SAQA) should be acknowledged as the source.